+44 (0) 20 3301 1300 info@hearthstone.co.uk

UK market

Residential Property is the UK's largest store of wealth. At around £5 trillion, it is worth more than UK equities and commercial property combined. The private rented sector (PRS) alone is estimated to have had a value of £929 billion at the end of 2014, more than the value of the country’s entire commercial property stock (£787 billion)*.
UK property market size and structure, 2014*

Uk property market 2014


While UK investors have long had an interest in residential property, ownership of private rented housing is dominated by small private landlords.  The proportion of institutionally–owned, expertly managed stock is unusually low in the UK compared with other developed markets globally. 
 
One indicator of this is the composition of International property investment indices.  At the end of 2015, residential property accounted for only 4.3% of MSCI’s  largest UK property investment index, compared with a share of more than 10% across much of western Europe, over 20% in the US and upwards of 30% in Finland, Switzerland and the Netherlands**.
 
This is now changing.  The PRS is seeing growing interest from UK and overseas institutions.  They consider that decades of under-investment in this type of housing offer scope both to develop a new, large-scale investment sector and to improve the quality of the product. 
 

Source: * The Size and Structure of the UK Property Market, Investment Property Forum, July 2015; **MSCI and KTI (Finland) country indices, end 2015

Register for updates

If you would like to receive updates regarding Hearthstone Investments, or to receive our newsletter, please provide your details and particular area of interest below.

Terms and conditions

Hearthstone Disclaimer

Please agree to the terms below to view content in the 'Professional Investors' section.

Hearthstone Investments PLC is the parent company of the Hearthstone Group. Regulated activities associated with the TM Hearthstone ICVC are carried out by Hearthstone Asset Management Limited, which is an authorised representative of Thesis Asset Management plc, authorised and regulated by the Financial Conduct Authority (114354). Other companies in the group provide investment advisory and other services funds aimed at professional clients. Details of these companies are provided in the investment materials associated with each fund.
 
Information in this section of our website is intended for professional clients and investment professionals and should not be relied upon by retail investors. No information in this website should be treated as an invitation or inducement to invest in any investment product nor as investment advice. If you are a professional client or investment professional you should not provide retail clients with access to information from our website that is not specifically designed by us for their use. Neither Hearthstone Asset Management Limited or Thesis Asset Management PLC accept any responsibility for your use of this site other than in accordance with these terms.
 
You will not be prompted for up to 30 days for content in this section. You will be prompted again if you use a different computer or delete your internet browser cookies.